- Oil is trading higher, around $70.54, after briefly falling below $70
- Yesterday, prices traded higher on news of heightening tensions in the Middle East before giving up gains
- The US Dollar continues to trade higher, heading for a fourth consecutive daily gain
- A stronger US Dollar can have a bearish effect on crude prices
- Libyan oil field halted due to protest (BBG)
- The largest oil field in Libya has halted production after protesters entered the facility
- The field had been producing 270 MBbl/d prior to the shutdown
- Libya’s total production in 2023 amounted to 1.2 MMBbl/d, with the country targeting 1.4 MMBbl/d of production by the end of 2024
- Chinese commodity demand remains resilient despite manufacturing slump (BBG)
- Economic indicators show a weakening in China’s manufacturing sector, with businesses cutting selling prices amid a downturn in orders
- Despite this, commodity imports into China have remained strong
- A London-based research group said it expects “a modest cyclical revival in China’s growth in the first half of 2024, which should be a factor supporting most commodity prices”
